Goldshore closes $10M placement to fund Moss Lake exploration

Jackson Chen | April 7, 2022 | 11:19 am News Canada Gold 
Location map showing the Moss Lake project in the Shebandowan greenstone belt. Credit: Goldshore Resources.

Goldshore Resources (TSXV: GSHR; OTC: GSHRF) has closed its previously announced brokered private placement, which was led by Eventus Capital and Gravitas Securities as co-lead agents and joint bookrunners, on behalf of a syndicate including Laurentian Bank Securities.

The offering comprised the placement of 6.4 million common share units ($0.50 each), 9.6 million flow-through units ($0.60 each) and 1.4 million charity flow-through units ($0.71 each), for gross proceeds of $10 million. All of the units comprised one common share of Goldshore and one-half of a common share purchase warrant. Each whole warrant is exercisable at a price of $0.75 for a period of 24 months.

Proceeds of the offering will be used by Goldshore for future exploration at its Moss Lake deposit in northwestern Ontario, where drilling is already in progress to increase the tonnage and grade over its historic resource model.

A preliminary economic assessment for Moss Lake (2013) indicated 39.8 million tonnes of resources grading 1.1 g/t gold, for 1.37 million contained oz. Another 50.3 million tonnes with the same gold grade were inferred, for 1.75 million oz.

“This new capital will advance our understanding of the size of the resource, taking us to resource estimation update and preliminary economic update planned to be completed in Q1 2023,” Brett Richards, president and CEO of Goldshore, said.

Moss Lake is one of several deposits hosted on the company’s Moss Lake property, located 100 km west of Thunder Bay, Ont. The East Coldstream and Iris Lake deposits, which also have historic resources, and the Hamlin zone, are also part of the property. The entire project covers 14,292 hectares of land.

Goldshore acquired the Moss Lake property from Wesdome Gold Mines for $57 million in May of last year. Three months later, it embarked on a 100,000-metre drill campaign to confirm and expand the historic resource.

More details on the Moss Lake project are available at www.GoldshoreResources.com.

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